Anthropic CEO Opposes 10-Year Moratorium on State AI Laws, Sparking Debate on AI Regulation

Reviewed byNidhi Govil

11 Sources

Anthropic CEO Dario Amodei argues against a proposed 10-year moratorium on state AI regulation, calling for federal transparency standards instead. The controversial provision in President Trump's tax policy bill faces bipartisan opposition from lawmakers and civil society groups.

Anthropic CEO Challenges Proposed AI Regulation Moratorium

Dario Amodei, CEO of Anthropic, has voiced strong opposition to a proposed 10-year moratorium on state AI regulation in a New York Times opinion piece 1. The controversial provision, part of President Trump's tax policy bill, has sparked a heated debate among lawmakers, tech companies, and civil society groups.

Source: Inc. Magazine

Source: Inc. Magazine

The Moratorium and Its Implications

The proposed moratorium would prevent states from regulating AI for a decade, effectively nullifying existing state laws and preventing new ones 2. Supporters argue it would prevent a fragmented regulatory landscape that could hinder innovation and America's competitive edge against China 3.

However, Amodei warns that AI is advancing too rapidly for such a long freeze. He predicts that AI systems "could change the world, fundamentally, within two years; in 10 years, all bets are off" 1. This sentiment is echoed by other industry experts and lawmakers who fear the unpredictable nature of AI development 4.

Growing Bipartisan Opposition

The provision has faced increasing bipartisan resistance. Republican Representatives like Marjorie Taylor Greene and Senators such as Marsha Blackburn have joined Democrats in opposing the measure 3. Over 250 state lawmakers from every state have urged Congress to drop the provision, arguing that state and local governments are more nimble in responding to rapidly developing AI technologies 2.

Source: Bloomberg Business

Source: Bloomberg Business

Civil society groups warn that the broad language of the moratorium could put essential consumer protections at risk. Jonathan Walter of the Leadership Conference on Civil and Human Rights stated, "The ban's language on automated decision making is so broad that we really can't be 100 percent certain which state laws it could touch" 2.

Impact on Existing State Laws

If passed, the moratorium could nullify a wide range of state laws, including:

  1. Accuracy standards for facial recognition in Colorado and Washington
  2. Data privacy bills across several states
  3. Social media regulations like New York's "Stop Addictive Feeds Exploitation for Kids Act"
  4. State governments' restrictions on their own use of AI 2

Illinois alone has passed at least three AI laws since 2024 that would be affected 5.

Alternative Proposal: Federal Transparency Standard

Source: The Verge

Source: The Verge

Instead of a blanket moratorium, Amodei proposes that the White House and Congress create a federal transparency standard 1. This would require frontier AI developers to publicly disclose their testing policies and safety measures. Companies working on the most capable AI models would need to publish how they test for various risks and what steps they take before release.

Amodei argues this approach would codify existing practices at major AI companies while ensuring continued disclosure as technology advances. It could potentially supersede state laws to create a unified framework, addressing concerns about regulatory patchwork while maintaining oversight 1.

Industry Perspectives

While some AI companies like OpenAI have previously advocated for industry regulation, recent focus has shifted towards clearing away rules that could impede competition with China 2. TechNet, a trade group representing Google, OpenAI, and other tech companies, echoed concerns about the "developing patchwork" of state AI bills, emphasizing the need for a consistent national approach 3.

The Path Forward

As the debate continues, the fate of the AI regulation moratorium remains uncertain. Senator Ted Cruz has expressed doubt about whether the provision will survive the reconciliation process 3. The outcome will significantly impact the future of AI governance in the United States, balancing innovation with the need for responsible development and consumer protection.

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